FX.co ★ Global macro overview for 11/09/2015

Global macro overview for 11/09/2015:

Yesterday's report on crude inventories reveal a rise up to the level of 2570k against a 5000k fall a week ago. Nevertheless, this is still only a half of barrels needed to fill the last week oil inventory decrease. This void might be filled very soon, as the US crude production is still projected to be the highest since 1972, according to the US Energy Information Administration. This week, EIA cut its 2015 output forecast for the nation by 1.5 percent to 9.22 million barrels a day, but crude market is still flooded oil which becomes cheaper and cheaper

The technical picture of oil is showing a bounce from the support at the level of 43.19, supported by 13 SMA. Nevertheless, the 55SMA is still acting as a dynamic resistance (currently at the level of 47.47). Only a clear breakout above 49.50 would change the technical bias from bearish to bullish in the near-term.